Push for funds for political parties

National Assembly aims for establishment before elections

THE National Assembly is pushing for the establishment of two funds for political parties represented in the national and provincial legislatures to be completed ahead of the 2019 general elections.

The funds form part of the provisions of the new legislation – the Political Party Funding Bill – approved by the National Assembly in November.

This comes after an ad hoc committee reviewed the funding of political parties represented in legislatures.

Now, in its latest report to be considered today, the committee has recommended to the National Assembly to allocate R20 million to the Independent Electoral Commission (IEC) as a starting-up budget for the funds. The committee had in November recommended a bill that provided for the establishment of a multi-party democracy fund and represented political party fund.

The bill provides for full disclosure of private funding above certain thresholds and prohibits donations from organs of state, state-owned entities, government departments and proceeds of crime.

It also outlaws funding by foreign governments and their agents.

In February, the National Assembly ordered the re-constituted committee to consider inputs from National Treasury and the IEC on the financial implications of the bill.

In its report, the ad hoc committee said the IEC and National Treasury had emphasised the need to ensure that the political party funding regulatory mandate did not interfere with electoral operations.

“The IEC reiterated that its existing mandate and obligations made it impossible for the establishment of the two funds to be financed from the organisation’s baseline allocation.”

The electoral body has projected the starting-up budget at R45m with R11m for compensation of employees and R34m for administrative expenses and assets.

“After consultation with the National Treasury, however, it was established that R45m was unaffordable,” the report said.

The committee said there was agreement between the IEC and National Treasury for the new legislation to be implemented in phases.

The establishment of the two funds, among others, will be prioritised before the 2019 general elections, along with research and policy development.

THE BILL PROVIDES FOR FULL DISCLOSURE OF PRIVATE FUNDING ABOVE CERTAIN THRESHOLDS